Table of Contents
Introduction
Key Considerations for Employing in Italy
Benefits
Employment Contracts
Onboarding
Leaves
Payroll & Taxes
Termination Process
Invoice Schedule
Get Started with Omnipresent
1. Introduction
Hiring employees in Italy requires compliance with strict labor laws, payroll regulations, and mandatory benefits. Omnipresent’s Employer of Record (EOR) service ensures that businesses meet all local employment obligations in Italy.
CBA
Italian employment law is heavily influenced by Collective Bargaining Agreements (CBAs)—official agreements negotiated between unions and employers (or employer associations) that set the working conditions for specific sectors.
CBAs are legally binding for all parties involved and apply at an industry level (e.g., manufacturing & industry, retail and commerce, hospitality & tourism, etc.).
At Omnipresent, our Italian entity operates under the Trade Sector (ConfCommercio) since it is a widely known NCBA not only to employees but also to payroll providers.
To the relationship between the employee and Omnipresent, the NCBA that applies is the Temporary Agencies NCBA.
2. Key Considerations for Employing in Italy
Currency: Euro (€)
Language: Italian
Employer Costs: High (~30.5% of salary)
Termination Complexity: Very Hard
Onboarding Timeline: Approximately 14 calendar days
Payroll Frequency: Monthly
*Once we receive the relevant documents from the employee, the contract is approved by all parties, and the deposit (if applicable) is paid, Omnipresent can onboard the employee within approximately 14 business days. The employment contract needs to be signed 4 days before the start date, to complete the local registrations.
3. Benefits
Types of Benefits Offered
Mandatory Benefits: Public healthcare, pension contributions, accident insurance, workers’ compensation.
Supplementary Benefits: Private healthcare, vision insurance, travel insurance.
Healthcare
Public healthcare (Servizio Sanitario Nazionale - SSN) is administered at a regional level.
Employers must provide supplementary health insurance based on employment level.
In Italy, health insurance is predominantly administered at a regional level through the Servizio Sanitario Nazionale (SSN), a nationally established system.As per the relevant collective agreement at Omnipresent in Italy, it is also mandatory to offer supplementary health insurance to all employees in addition to the public healthcare system. The applicable cost of supplementary health insurance depends on the employment level, determined during onboarding based on employee salary, job title, and job description.
Additionally, the National Institute for Insurance against Accidents at Work (INAIL) ensures that all employers contribute to accident coverage.
Retirement
National Social Security Institute (INPS) covers retirement, disability, and illness benefits.
Mandatory pension contributions are deducted via payroll.
The National Social Security Institute (INPS) is responsible for providing coverage related to retirement, death, disability, and illness benefits.
Benefits based on the applicable NCBA
We are in line with the NCBA for Agenzie di somministrazione and we offer the following for our employees of Quadro, Impiegato and Dirigenti category employees
Health Insurance - Ebitemp
Retirement Fund - Fon.teTraining programmes - forma.temp
Additional Dirigente expected benefits
Health Insurance - FASDAC
Retirement Fund - Fondo Mario Negri
Unemployment and AD&D insurance - Antonio Pastore
Training programmes - as part of Mario Negri
4. Employment Contracts
Contract Types
Indefinite-term contracts
We can offer indefinite term contracts in Italy.
Fixed-term contracts (limited to 20% of workforce, max 3 years)
Depending on circumstance, we may able to offer fixed-term contracts in Italy.The maximum fixed-term contract (FTC) duration is 12 months without any need for justification, with possible extensions to up to 24 months based on business needs.
The fixed-term employment agreement is governed by Legislative Decree No. 81/2015, as modified by Decree 87/2018, which came into force as of July 14, 2018.
The labor code provides that parties can enter into a fixed-term employment agreement without specifying the reasons, for a maximum period of 12 months.
Should the agreement last more than 12 months or should the agreement be extended after this period of time, motivation shall be pointed out in the agreement.
The fixed-term employment agreement requests are subject to our legal team review and require their approval.
Part-time contracts (min 18 hours per week)
We can offer part - time contracts in Italy.
Requirements
Written employment contracts are required.
Language: Italian & English (Italian version prevails).
Signature Requirements: QES - Qualified electronic signature is needed. Where the identity of the signee needs to be verified.
Backdating: Not permitted under Omnipresent’s policy.
Probation Period
Probation period is governed by the applicable NCBA, and it depends on the employment level.
Quadro and Dirigente
The maximum duration of the probationary period shall not exceed 6 months.
Impiegato Level I to VII
The maximum duration of the probationary period shall not exceed the following limits:
Level 1: 6 months;
Level 2, 3, 4, 5: 60 days;
Level 6 and 7: 45 days.
Probation allows easier termination before transitioning to standard dismissal procedures.
Notice Period
Notice period is governed by the applicable NCBA, and it depends on the employment level.
Notice period for dismissal
Upon dismissal for justified grounds, a notice period, which varies in relation to the employee's category and seniority, is generally provided for by the applicable NCBA.
Quadro
It depends on the seniority:
- up to 5 years, 60 days;
- from 5 up to 10 years, 90 days;
- exceeding 10 years, 120 days.
Dirigente
It depends on the seniority:
- up to 4 years, 6 months;
- up to 10, 8 months;
- up to 15, 10 months;
- exceeding 15 years, 12 months.
Impiegato Level I to VII
Up to 5 years of service:
Level 1: 60 calendar days;
Level 2 and 3: 30 calendar days;
Level 4 and 5: 20 calendar days;
Level 6 and 7: 15 calendar days.
Over 5 years up to 10 years of service:
Level 1: 90 calendar days;
Level 2 and 3: 45 calendar days;
Level 4 and 5: 30 calendar days;
Level 6 and 7: 20 calendar days.
Over 10 years of service:
Level 1: 120 calendar days;
Level 2 and 3: 60 calendar days;
Level 4 and 5: 45 calendar days;
Level 6 and 7: 20 calendar days.
Notice period for resignation
According to Italian Law, the employee may resign without necessarily having to give reasons, but must respect the notice period, unless the NCBA provides otherwise.
Quadro
It depends on the seniority:
- up to 5 years, 45 days;
- from 5 up to 10 years, 60 days;
- exceeding 10 years, 90 days.
Dirigente
It depends on the seniority:
- up to 2 years, 2 months;
- from 2 up to 5 years, 3 months; exceeding 5 years, 4 months.
Impiegato Level I to VII
Up to 5 years of service:
Level 1: 45 calendar days;
Level 2 and 3: 20 calendar days;
Level 4 and 5: 15 calendar days;
Level 6 and 7: 10 calendar days;
Over 5 years up to ten years of service:
Level 1: 60 calendar days;
Level 2 and 3: 30 calendar days;
Level 4 and 5: 20 calendar days;
Level 6 and 7: 15 calendar days;
Over 10 years of service:
Level 1: 90 calendar days;
Level 2 and 3: 45 calendar days;
Level 4 and 5: 30 calendar days;
Level 6 and 7: 15 calendar days.
Employment level
The employees in Italy are divided into different levels and groups based on their roles, autonomy, and level of expertise. Once we receive information on employees' salary, job title, and job description, we can determine the applicable employment level.
Employment levels:
Dirigenti - the highest level of employment
High-level executives who operate with significant autonomy, often acting as the employer’s alter ego. They oversee the management of an enterprise or a major independent division, making strategic decisions and guiding operations2. Unlike other employees, they are not bound by standard dismissal protections or working hour regulations but enjoy higher salaries and benefits.
Quadro level
Employees who perform on a regular basis management functions of relevant importance towards the realization of the company's goals, within the limits of pre-defined company strategies and projects, who may have discretionary powers and management responsibility also for the management and coordination of resources and persons or who are entrusted, with powers of self-determination, responsibility and with high, specialized professional skills, with the research and definition of projects of relevant importance towards the realization of the company's goals.*
Level 1
Employees with duties of high professional content, possibly entrusted with executive direction responsibilities, who supervise productive units or an organizational function with powers of initiative and self-determination for operational matters, within the limits of the responsibilities they've been entrusted with. E.g.: system analyst, product manager, media planner, researcher.
Level 2
Employees who perform conceptual duties in conditions of operational autonomy and/or possess functions of coordination and control, as well as staff who use creativity in their work within a specific technical and/or scientific set of skills. E.g.: inspector, programmer, quality control specialist, senior accountant.
Level 3
Employees who perform conceptual or mainly conceptual duties requiring technical knowledge and experience and specialized, skilled workers who, in conditions of operational autonomy within the limit of their duties, perform activities requiring specific and adequate skills acquired with previous technical and practical training. E.g.: administrative accountant, administrative employee, marketing technician.
Level 4
Employees performing operational duties, including sales; employees performing duties requiring specific technical knowledge and technical/practical skills, however acquired. E.g.: retail clerk, basic accountant, truck driver, beautician.
Level 5
Employees performing duties whose execution requires normal knowledge and adequate technical-practical skills, however acquired. E.g.: clerk assistant, typist, archivist, car driver.
Level 6
employees who perform duties requiring simple practical knowledge. E.g.: usher, packager, bellhop, custodian.
Level 7
employees who perform cleaning duties.
Classification level provided for by the NCBA for Temporary Agencies:
1. The single classification of agency employees, in order to be harmonised with that provided for by the various NCBA adopted by the user companies, is grouped into 3 main areas in relation to the different professional contents possessed.
2. Also in relation to the provisions of Law No. 190/85, the distinction between middle managers (i.e. quadri) personnel with white-collar duties and personnel with non-white-collar duties, is maintained for the purposes of all the rules (laws, regulations, contractual, trade unions, etc.) that provide for differential treatment or that in any case refer to such qualifications.
3. (…) In view of the specific nature of the professional skills to be used in staff leasing, it is agreed to group employees into three large homogeneous groups:
- Group A: includes workers with high professional content such as executives, middle managers (i.e. quadri) and managerial employees.
- Group B: includes conceptual workers, specialized workers and/or corresponding to the so-called intermediate categories with professional content characterized by operational but not decision-making autonomy and a high level of theoretical/practical knowledge.
- Group C: includes skilled and orderly workers, who perform work under the guidance and control of others.
4. For the purposes of assigning the contractual classification level for each individual employment relationship, reference must be made, in accordance with the above classification in groups, to the different classification levels/categories envisaged for the specific tasks referred to in the NCBA of the user companies.
Group A: Dirigente, Quadro and Impiegato Level 1
Group B: the rest of the employees.
Group C: Blue Collar.
Contract Customisation
Omnipresent offers a balanced approach to customizing employment contracts, combining the flexibility of self-service customization on our platform with a strong commitment to legal compliance and operational efficiency.
For our contract in Italy, clients can directly tailor various contract elements such as contract duration, seniority recognition, probation periods, flexible work arrangements, and diverse leave policies through the OmniPlatform. This self-service feature empowers clients to efficiently personalize contracts to suit their specific business needs.
While we encourage customization to enhance client satisfaction, we maintain certain non-customizable areas to uphold legal compliance and streamline our payroll processes. These include backdating start dates, foreign currency salary payments, overtime payments, and specific clauses like expenses, equity options, equipment provisions, and termination notices. This policy ensures a seamless balance between offering a tailored service and adhering to employment laws and regulations in Italy.
Our aim is to provide a differentiated, client-friendly service that respects both the unique needs of businesses and the imperative of regulatory conformity.
5. Onboarding
Timeline
The onboarding process in Italy typically takes 14 calendar days, including:
Platform Setup
Right-to-Work Check
Employment Contract Processing
Benefits & Payroll Enrollment
Registration & Approvals
Employees must be registered with INPS (Italian Social Security Institute).
Registration takes up to 4 working days and must be completed before the start date.
The employee needs to provide their passport or ID, Health insurance card, and Residency card if applicable.
Immigration & Visas
Omnipresent does not offer visa or work permit sponsorship.
Right-to-Work Verification
We will carry out right to work (RTW) checks on all prospective employees before they are employed.
After the onboarding process is completed, the employee will
also need to undergo a medical check within the first 60 days of employment, and conduct a Health & Safety training.
Employee Transfers from Another EOR
You can transfer employees that have previously worked for you, whether in another country or through another EOR provider, to Omnipresent.
However, as per local regulations, it’s not possible to transfer holidays. The previous employer needs to pay out unused leave.
6. Leaves
Leave Entitlements
Quadro and Level I to VII employees hired through Omnipresent are entitled to:
22 working days of annual leave per year, in accordance with the Commercio e Terziario Collective Bargaining Agreement (CBA).
Dirigenti level are entitled to:
- 22 working days of annual leave per year, in accordance with the Manageritalia Collective Bargaining Agreement (CBA).
In addition all the employees are entitled to:
- 4 days (32h) of Ex festivita (this is usually used by the employee if they need to go to medical appointment for few hours or they need to run some errands during the working hours) per year.
If the employee needs to take a full day for a medical visit, they can either take sick leave in agreement with the doctor or Ex festivita permission.
- ROL: full accrual is either 56 or 72h (variable according to employer’s headcount).
Full accrual starts once the employee hits 4 years of seniority. 50% accrual starts from year 2.
In the first 2 years, the employee will have 0 per month.
Then 1/12 of the annual amount per month after 2 years.
Each month the employee can see accruals and the available balance on their payslip.
If the workweek runs from Monday to Saturday, the entitlement increases to 26 working days under the CBA.
Annual Leave Carryover:
Employees in Italy can carry over up to 10 days of annual leave for up to 18 months.The CBA allows for better treatment than the legal minimum, but it is advisable to adhere to the CBA provisions.
Annual leave is compensated at the regular salary rate to ensure employees receive their usual income during time off.
Maternity & Paternity Leave
Maternity Leave:
Employer’ must provide female employees with at least five months’ maternity leave as follows:for the two months prior to the planned birth of the child (or three months if the woman is employed in “dangerous or unhealthy work” as listed by the Minister); and
for the three months following the birth.
(The maternity leave may begin one month before the planned birth and finish four months following the birth or may be taken in its entirety after the birth upon permission of a competent doctor.)
A mother is entitled to 80% of her regular salary during maternity leave. This is paid by the employer, who can then seek reimbursement from the INPS.
After the maternity leave, the mother has a right to return to the same job position she left, and at the same or better conditions. Further, she is entitled to work in the same office or at least in the same city until the child is one year old.
Working mothers are entitled to two, one-hour paid lactation breaks per day (one, one-hour break if the daily work time is under six hours) during the first year after the child is born. The mother is permitted to leave the workplace to feed the baby. The lactation break period is reduced to 30 minutes if a daycare or a lactation room is provided in or close to the workplace. The lactation break period is doubled in cases of multiple births. The employer may be subject to a fine it does not provide the required daily lactation breaks. A father is entitled to such time off if the child is in his care, the mother does not take the time off, the mother does not work, or the mother is dead or seriously ill.
Employers cannot assign a female employee certain tasks (e.g., carrying or lifting weights; tasks that are dangerous, heavy, or unhealthy) during the period of her pregnancy and for a period of up to seven months after her confinement. Further, female employees cannot work from midnight to 6:00 A.M. during the period of pregnancy and up to one year after the child is born.
Paternity Leave: Employees are entitled to 10 days to be used from 2 months before the expected date of birth until 5 months after birth (or from entry into the family/Italy in the case of national/international adoptions or from foster care or temporary placement).
It is also possible to take the leave split in days (but not in hours) and in case of perinatal death of the child.
In case of multiple births, the duration of leave is increased to 20 working days.
During the period of paternity leave, the father is entitled to an allowance equal to 100% of his salary .
Fathers are also entitled to 'maternity leave' if the mother is mentally ill or in case of death.
Sick Leave
An employee is entitled to receive their partial or full salary during this period (with a portion paid by the Italian Institute of Social Security and, if provided by the National Collective Labor Agreement - NCBA -, a portion paid by the employer). For executives, the salary amount is covered by the employer alone.
The applicable National Collective Labor Agreement provides the length of the period and the rate of salary to be paid.
Under Italy’s labor law, employees cannot be dismissed while on sick leave (to the extent the sick leave does not exceed the maximum allowed duration provided by law/NCBA), unless for just cause. At the end of the leave, the employee is entitled to come back to the same job position.
Employees who are absent due to a work accident are also entitled to keep their job position for a certain period of time, as set forth in the applicable National Collective Labor Agreement. Employees are entitled to receive the following during this period:
From the employer: Their full salary for the day the accident occurred; and 60% of their salary for the period from the second to the fourth day.
From the Italian Institute for Insurance of Occupational Accidents and Diseases (“Instituto Nazionale per l’Assicurazione contro gli Infortuni sul Lavoro” or INAIL): An indemnity equal to 60% of their salary for the period from the fifth to the 90th day; and 75% for the period following the 90th day.
Public Holidays
Public holidays applicable based on the location of our entity:
January 1 – New Year's DayJanuary 6 – Epiphany
Easter Monday - varies each year
April 25 – Liberation Day
May 1 – Labor Day
June 2 – Republic Day
August 15 – Assumption Day
October 4 - Feast of Saint Petronius (Festa di San Petronio)
November 1 – All Saints' Day
December 8 – Immaculate Conception
December 25 – Christmas Day
December 26 – St. Stephen's Day
7. Payroll & Taxes
Payroll Cycle
Frequency: Monthly
Cut-off Date: 6th of each month*
Payment Date: Last working day of the month.
*Omnipresent supports both 6th and 15th cut-off dates in this country depending on our local partner. While we prioritise local partners with a later cut-off date, local partners with an earlier cut-off date might be chosen because of visa sponsorship ability and other factors. If you would like to switch to a local partner with a later cut-off date, feel free to reach out to your Customer Success Manager or our Support team at help@omnipresent.com.
Compensation
Mandatory 13th- and 14th-month salary payments:
Paid in June and December, or prorated monthly.
No national minimum wage (determined by Collective Bargaining Agreements - CBAs).
Standard Work Schedule
40 hours per week, Monday-Friday.
Employer Costs
Estimated 30.5% of salary. Use the OmniCalculator for a detailed breakdown.
8. Termination Process
Notice Period
Determined by National Collective Bargaining Agreement (NCBA).
Ranges from 15 to 120 days, based on seniority and role.
Termination Grounds
Strict labor protections apply.
Valid termination reasons: Gross misconduct, redundancy, company restructuring.
Severance Pay (TFR - Trattamento di Fine Rapporto)
Employers must set aside 7% of annual salary as an end-of-service allowance.
TFR is paid out upon termination for any reason, including resignation.
9. Invoice Schedule
Initial Fees
Setup Fees: Due upon signing Terms.
Deposit: Payable when the local employment contract is ready for signature.
First Salary Prepayment: Invoiced on the first day of employment.
Ongoing Monthly Payments
Labour costs invoiced monthly in arrears after payroll calculations.
Each invoice includes:
Monthly service fee
Deposit insurance (if applicable)
FX fee (if applicable)
10. Get Started with Omnipresent
We simplify international hiring, legal compliance, payroll, benefits, and more. Contact us to start your journey towards hassle-free global employment.